In November 2012,there Was Some Discussion of Several South-Asian Countries

question 96

Multiple Choice

In November 2012,there was some discussion of several south-Asian countries joining together to restrict the supply of rice to the world market.Between them,these countries' exports of rice account for 40% of the total global trade.What would they be trying to accomplish?

• A)They are attempting to form a cartel,increase their joint output,and control a larger percentage of the total global trade.
• B)They are attempting to price discriminate between consumers of their exported rice,thereby increasing their share of the global trade and increasing their joint profits.
• C)They are attempting to form a cartel,jointly restrict output,and increase the world price of rice.
• D)They are attempting to act as a bloc to restrict entry of new producers to the world market,and thereby protect their joint profits.
• E)They are attempting to form a cartel,drive other producers out of the world market and then increase their output of rice.

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Definitions:

Infrastructure Problem

Issues or challenges related to the basic facilities, services, and installations needed for the functioning of a community or society, like roads, bridges, and power supplies.

Capital Flight

The rapid movement of large sums of money or capital out of a country due to economic or political instability, affecting the country's financial health.

Microlending

The provision of small loans to entrepreneurs and small businesses lacking access to banking and related services.

Human Capital

The knowledge and skills that make a person productive.